Marketing Flashcards
Market
Refers to a business’ customers or consumers
Sales volume
Number of items sold
Market share
The proportion of total sales within a market that is controlled by a business
Segmentation
When customers within a market are divided into different groups
Extension strategies
the name given to the action a business takes when it identifies a product is close to entering the decline stage of the Product Lifecycle
Possibilities of extension strategies
. Reducing the price
. Advertising
. New packaging
. New features
price skimming
start with a high price and then reduced over time
What are the two types of market research
Primary and secondary
What is primary market research
. Original research that company’s did themselves
. Focus groups
. Surveys
What is secondary market research
. Existing data is used
. Uses research by marketing firms
. Government publications and internet is used
Pros amd cons of primary research
Pros: design quantitive and qualitive research tailored to your needs, may give you “trade secrets” for competitive edge.
Cons: time consuming, likely expensive, surveys often get dismissed
Pros and cons of secondary market research
Pros: quick and instant, cheaper to access, limited time and effort to find info
Cons: competitiors will have access to the same info, research may be too broad or out of date, could be inaccurate
Segmentation
When customers within a market are divided into different groups
